Going It Solo Without an Agent

It's not as simple as just signing on the dotted line. There is a lot of paperwork involved in buying a home.

When it comes to buying a home, many people assume that you are required to use a real estate agent. This is not true. You can look for and buy a home without ever using a real estate agent. However, before you decide to go solo, you should be sure to weigh the pros and cons of using a real estate agent.

The Pros of Not Using a Real Estate Agent

If you're unsure as to whether you should use a real estate agent, then you might want to consider the benefits of going at it alone, which include the following:

You can find properties for sale on your own - Currently, you don't need to rely solely on a real estate agent to find properties that are for sale. Finding homes for sale is not that difficult if you have access to the Internet. In fact, you can easily find open houses or schedule personal viewings on your own.

You'll be able to engage with the seller directly - A real estate agent acts as a go-between for the seller and buyer. While this can be very helpful, it can also slow the process down. Being able to communicate directly with the seller can help to save time as well as reduce the risk of miscommunication. Not to mention that getting to know the seller on personal terms can be very beneficial. A seller may be more likely to accept your bid even if it's a bit lower than the asking price if they really like you.

The seller may be more willing to lower the price - Most real estate agents are paid by commission, which means that the seller is the one that will be responsible for the commission of your real estate agent. If you aren't using an agent, then the seller will only have to pay commission to their agent, which means that they will save money. Thus, the seller may be more willing to negotiate the price.

If you know the seller, you don't need the agent's expertise - One of the reasons to use a real estate agent is because they can provide you with a lot of information about the property you're looking at. However, if you know the seller personally, whether they are a friend or a family member, then you probably already know everything you need to know about the house and the seller. In such a case, it may be easier to deal with your friend or family member directly without an agent.

The Cons of Not Using a Real Estate Agent

While there are a few benefits to buying a home without a real estate agent, you'll find that there are a lot of drawbacks to trying to buy a house on your own, which include the following:

You won't have access to as many listings - While you'll be able to find lots of listings online, a real estate agent will be in the know about houses that haven't even been listed yet due to their relationship with other real estate agents in their area. Additionally, you'll waste a lot less time looking for houses that meet your criteria since an agent will do the grunt work for you.

You won't benefit from agent expertise - A real estate agent will know what the local real estate market is like and will give you a good idea of what you can expect to spend on what you're looking for. They can also provide you with information on the different neighborhoods as well as what you need to do in order to submit a bid and close on a house.

You won't benefit from professional guidance - A good agent can point out good and bad deals so that you don't overpay. If you ever need real estate advice, they have the experience necessary to give you an informed opinion.

You won't benefit from an agent's negotiation abilities - Real estate agents can help you to effectively negotiate home prices or sales terms.

You won't have help with the overwhelming paperwork - It's not as simple as just signing on the dotted line. There is a lot of paperwork involved in buying a home. A real estate agent will make sure that you fill out all the required paperwork and that you do so properly so that it doesn't affect the legality of your investment.

Before you choose to begin house hunting without a real estate agent, you should weigh the benefits and drawbacks of trying to buy a home on your own. While there are several benefits to going solo, you might find that the advantages of using a real estate agent that you'll miss out on far outweigh those benefits.